Oils & Fats - Latvia

Latvia

Highlights

Revenue in the Oils & Fats market amounts to US$116.00m in 2024. The market is expected to grow annually by 4.29% (CAGR 2024-2029).
In global comparison, most revenue is generated India (US$46bn in 2024).
In relation to total population figures, per person revenues of US$64.09 are generated in 2024.
In the Oils & Fats market, volume is expected to amount to 14.90m kg by 2029. The Oils & Fats market is expected to show a volume growth of 2.2% in 2025.0.
The average volume per person in the Oils & Fats market is expected to amount to 7.6kg in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Oils & Fats market in Latvia is experiencing minimal growth, influenced by factors such as shifting consumer preferences towards healthier options, the rising cost of raw materials, and increasing competition from alternative spreads and oils in the food sector.

Customer preferences: Consumers in Latvia are increasingly prioritizing health and wellness, leading to a notable shift towards plant-based oils and organic fats. This trend is influenced by a growing awareness of nutritional benefits and a cultural inclination towards natural and sustainable food sources. Additionally, younger demographics, particularly millennials and Gen Z, are driving demand for innovative alternatives like nut butters and avocado oils. As lifestyles become busier, convenience also plays a role, with ready-to-use products gaining popularity among health-conscious consumers seeking quick meal solutions without compromising on quality.

Trends in the market: In Latvia, the Oils & Fats Market is experiencing a shift towards plant-based oils and organic fats, driven by an increased consumer focus on health and wellness. This trend reflects a broader European movement towards natural food sources, with younger generations, especially millennials and Gen Z, seeking innovative products like nut butters and avocado oils. Additionally, the demand for convenience is rising, as consumers favor ready-to-use options that offer quality and nutritional benefits. These evolving preferences present significant opportunities for industry stakeholders to innovate and cater to a health-conscious market, potentially reshaping product offerings and marketing strategies.

Local special circumstances: In Latvia, the Oils & Fats Market is shaped by local agricultural practices and a rich tradition of foraging. The abundance of local seeds and nuts, such as flaxseed and hazelnuts, supports a growing preference for regional plant-based oils, appealing to eco-conscious consumers. Additionally, Latvia's regulatory framework encourages organic farming, bolstering the market for organic fats. Cultural influences, such as the emphasis on traditional cuisine, further drive interest in natural, wholesome products, creating unique opportunities for innovation in this evolving sector.

Underlying macroeconomic factors: The Oils & Fats Market in Latvia is significantly influenced by macroeconomic factors such as global commodity prices, trade policies, and national economic stability. Fluctuations in the prices of raw materials, like sunflower and rapeseed oil, directly affect production costs and consumer prices. Latvia's integration into the European Union provides access to broader markets and influences regulatory standards that promote sustainability. Additionally, national economic health, characterized by GDP growth and consumer spending power, drives demand for premium and organic oils. Fiscal policies aimed at supporting local agriculture further enhance the market's potential, fostering innovation and diversification within the sector.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the total consumer spending on food, which comprises all private household spending on food that is meant for at-home consumption (out-of-home consumption is not accounted for).

Modeling approach:

Market sizes are determined through a top-down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, and consumer price index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Food market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.